2019-03-22T11:51:30-07:00 2018-06-30 990 2017-07-01 042104265 GROTON SCHOOL GROT 9784483363 PO Box 991 Groton MA 01450 Arthur Diaz Chief Financial Officer 9784487566 2019-03-22 71.11.1.35 2017 2019-02-21 02:37:17Z Arthur Diaz PO Box 991 Groton MA 01450 71096272 0 X www.groton.org X 1884 MA Groton School provides college and university preparatory education for students in grades eight to twelve. 26 25 245 340 -343056 0 14959754 21871686 20978197 21098333 18845541 19230569 402626 339376 55186118 62539964 6630932 6573705 0 0 18844432 20823711 0 0 2526880 21922284 22455754 47397648 49853170 7788470 12686794 520237297 544284961 95569403 95258105 424667894 449026856 Groton School is dedicated to educating promising students in a diverse and intimate community that fosters intellectual, moral, and spiritual character and physical development in preparation for lifelong learning, leadership, and service to others. 0 0 33838550 6573705 21098333 Education of students in grades eight through twelve in a non-profit, co-educational college preparatory boarding school. The School provides aid assistance for 38% of its students in the form of tuition grants, housing support, travel assistance, and subsidies for books, supplies, and laptop purchases (378 students). 0 0 0 33838550 1 1 0 1 0 0 0 1 0 1 1 1 0 0 1 1 1 0 1 0 1 0 0 0 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 1 1 1 0 0 1 175 0 1 245 1 1 1 0 0 0 0 0 0 0 0 0 X 26 25 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 0 MA X Arthur Diaz 9784487566 PO Box 991 Groton MA 014500991 David Altshuler Board Member 4 0 X 0 0 0 Nicholas F Burgin Board Member 4 0 X 0 0 0 Diana V Chigas Board Member 4 0 X 0 0 0 Franz F Colloredo Mansfeld Board Member 4 0 X 0 0 0 Rachel E Diamond Board Member 4 0 X 0 0 0 Diana S Ferguson Board Member 4 0 X 0 0 0 William B Gray Board Member 4 0 X 0 0 0 Monica Spencer Green Board Member 4 0 X 0 0 0 Grant A Gund Board Member 4 0 X 0 0 0 Gary C Hill Board Member 4 0 X 0 0 0 John R S Jacobsson Board Member 4 0 X 0 0 0 Alexander Robert Krapf Board Member 4 0 X 0 0 0 Richard R Patton Board Member 4 0 X 0 0 0 Andrew S Paul Board Member 4 0 X 0 0 0 Andrea N Picott Board Member 4 0 X 0 0 0 Benjamin N Pyne Board Member 4 0 X 0 0 0 Jennifer Eplett Reilly Board Member 4 0 X 0 0 0 Stacey Clover Symonds Board Member 4 0 X 0 0 0 William C Vrattos Board Member 4 0 X 0 0 0 James H R Windels Board Member 4 0 X 0 0 0 Nancy Yang Board Member 4 0 X 0 0 0 Jonathan D Klein President 4 0 X X 0 0 0 Ann Bakewell Woodward Vice President 4 0 X X 0 0 0 D D Willard Gardiner Jr Treasurer 4 0 X X 0 0 0 Peter C Erichsen Secretary 4 0 X X 0 0 0 Temba Maqubela Headmaster 60 0 X X 437790 0 167241 Arthur Diaz Chief Financial Officer 50 0 X 255236 0 99920 John MacEachern Director of Development 50 0 X 250529 0 88490 Elizabeth Preston Chief Technology Officer 50 0 X 156940 0 38173 Ian Gracey Director of Admissions 50 0 X 147152 0 91572 Harold W Anderson III Assistant Headmaster 50 0 X 140059 0 151877 Elizabeth Lawrence Development Leadership Gift Officer 50 0 X 127053 0 52813 1514759 0 690086 20 0 1 0 Mahan Slate Roofing Company 699 Silver Street Agawam MA 01001 Construction 1691968 FLIK 2 International Drive Rye Brook NY 10573 Food Service 1610975 Cambridge Associates 125 High Street Boston MA 02110 Investment Consultant 812685 Eagle Cleaning Corporation 997 Millbury Street Suite A Worcester MA 01607 Custodial Service 581283 Robert L Fulmer 184 Vista View Drive PO Box 434 North Conway NH 03860 Construction 337027 12 0 0 0 0 0 21871686 1362067 21871686 Tuition 611600 20440670 20440670 0 0 Technology Support Fee 611710 226800 226800 0 0 Health Center Fee 611710 126000 126000 0 0 Laptop Rental and Lease 611710 166400 166400 0 0 Application Fees 611710 72600 72600 0 0 65863 65863 0 0 21098333 5939839 0 -345868 6285707 0 0 0 0 0 0 0 0 346587 0 36574 0 310013 0 310013 0 2812 307201 21727123 0 8407697 28696 13319426 -28696 13290730 0 0 13290730 0 112704 83341 29363 0 0 29363 0 62539964 21098333 -343056 19913001 131499 131499 6442206 6442206 0 0 0 0 960188 0 960188 0 122847 122847 0 0 12419296 9304716 1814713 1299867 2465833 1640355 556629 268849 3214536 1722678 1239677 252181 1641011 1091656 370436 178919 0 0 0 0 117352 2549 114803 0 147938 11784 136154 0 0 0 0 0 0 0 3070058 35 3070023 0 1241462 351309 844769 45384 372743 83918 192129 96696 186827 61788 83553 41486 462204 139337 286131 36736 0 0 0 0 3060798 3045200 14562 1036 419535 77634 236079 105822 0 0 0 0 66248 28666 34254 3328 2736748 0 2736748 0 0 0 0 0 8169199 7927969 241230 0 283535 36413 224497 22625 Food 1005888 857650 93395 54843 Special Events 445975 317130 42608 86237 General Merchandise and Equipment 358426 352467 4782 1177 Other Regulatory 152214 25615 97826 28773 158604 63129 92554 2921 49853170 33838550 13487740 2526880 39042 62341 2065179 1550153 12364070 14804901 587880 483269 0 0 0 0 8487 2673 257975 225132 262565 381825 236630301 104648836 132670604 131981465 228767975 248677459 135979710 138881933 15797 15797 7218013 7218013 0 0 520237297 544284961 11909064 13537735 0 0 3155091 2445511 69925381 68647756 0 0 0 0 0 0 0 2238736 10579867 8388367 95569403 95258105 X 246462643 251529384 85579076 87567237 92626175 109930235 424667894 449026856 520237297 544284961 X 12686794 8118898 0 0 0 3553270 X 0 1 X 1 0 X 0 0 0 0 0 0 0 0 1 0 0 0 Schedule C, Part II-B, Line 1 The School is a member of a number of associations such as the National Association of Independent Schools, New England Association of Schools and Colleges, and the Association of Independent Schools in New England, which may use a portion of their membership dues to lobby on behalf of its members. The portion of dues and fees allocated to lobbying activities is not determinable. 0 0 X X 0 360959010 13616292 24266829 3456531 12810644 0 382574956 320150377 14471653 43721190 3393385 13990825 0 360959010 348220123 4138587 -11323956 3340451 17543926 0 320150377 352334319 3983613 4468108 2895958 9669959 0 348220123 313592181 2553487 46100003 2797139 7114213 0 352334319 0.53 0.25 0.22 0 0 0 7091973 7091973 0 205804713 89326268 116478445 0 0 0 0 0 13253309 9089420 4163889 0 10480306 6233148 4247158 131981465 0 0 Hedge Funds 87700998 F Venture Capital Funds 28916175 F Real Asset Funds 11661596 F Private Equity Funds 10603164 F 138881933 0 Interest Rate Swap Agrements 6100910 Charitable Remainder Unitrusts 1588118 Charitable Gift Annuities 699339 8388367 X 64464141 8118898 0 0 -2492357 5626541 58837600 3850975 -148611 3702364 62539964 40105179 0 0 0 148611 148611 39956568 3850975 6045627 9896602 49853170 Schedule D, Part III, Line 1 The collections, which include art work, books, and artifacts of historical significance have been acquired through contributions since the School's inception and are not recognized as assets on the statement of financial position. Contributed collection items are not reflected on the financial statements. Proceeds from deaccessions or insurance recoveries are reflected as increases in the appropriate net asset class. Schedule D, Part III, Line 4 The artwork acquired by the School since its inception often relates to the School's history and has either been purchased or acquired by donation. This collection is displayed throughout the campus for viewing by students, faculty, and visitors. Schedule D, Part V, Line 4 The endowment is used to support the mission of the School. Schedule D, Part X, Line 2 The School follows FASB ASC 740, Income Taxes, which clarifies the accounting for uncertain tax positions by prescribing the recognition threshold a tax position is required to meet before being recognized in the financial statements. The School recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities. Management evaluated the School's tax positions and concluded that the School had no material uncertain income positions as of June 30, 2018 or 2017. The School is no longer subject to income tax examinations by the US federal, state, or local tax authorities for fiscal years before 2015. The School will account for interest and penalties related to uncertain tax positions, if any, as part of tax expense. Schedule D, Part XI, Line 2d Unrealized gain on the value of interest rate swaps 2,180,233, reduced accrued pension liability 1,166,638, increase in value of split interest agreements 562,625, financial aid (6,045,627), and the recovery provision for uncollectible pledges (356,226). Schedule D, Part XI, Line 4b Rental expenses associated with unrelated business income (36,574), cost of goods sold at the School store (83,341), and loss on disposal of assets (28,696). Schedule D, Part XII, Line 2d Rental expenses associated with unrelated business income 36,574, loss on disposal of property 28,696, and the cost of goods sold at the School store 83,341. Schedule D, Part XII, Line 4b Financial aid of 6,045,627. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 Schedule E, Part I, Line 3 Groton's diversity and inclusion mission statement is noted on its website. It notes that Groton School is committed to diversity and inclusivity with responsibility, mutual respect, and empathy. We strive to maintain a community in which every person feels welcomed, valued, and respected. We are dedicated to shared examination of our different perspectives, inherent privileges, disadvantages, and prejudices, especially in terms of race, religion, national origin, gender and sexuality, socioeconomic status, and political ideology. We believe this work is critical to preparing students to lead "lives of character, learning, leadership, and service." East Asia and the Pacific 0 0 Fundraising Fundraising receptions held in South Korea and China in March 2018. 53000 South Asia 0 0 Program Services School sponsored Global Education trip to India that included fourteen students. 42000 East Asia and the Pacific 0 0 Program Services School sponsored Instrumental Music trip to China that included sixteen students. 36000 Sub-Saharan Africa 0 0 Program Services School sponsored Global Education trip to Tanzania that included fifteen students. 35000 Europe (including Iceland and Greenland) 0 0 Program Services School sponsored Global Education trip to Greece that included eighteen students. 33000 Europe (including Iceland and Greenland) 0 0 Fundraising Fundraising reception held in London in October 2017. 20000 Europe (including Iceland and Greenland) 0 0 Fundraising Fundraising reception held in London in April 2018. 18000 East Asia and the Pacific 0 0 Program Services Admissions receptions held in China and South Korea in December 2017. 17000 Sub-Saharan Africa 0 0 Fundraising Fundraising receptions held in South Africa in May 2018. 13000 East Asia and the Pacific 0 0 Program Services Attendance at the WLSA Global Educator Conference in Shanghai in July 2017. 9000 East Asia and the Pacific 0 0 Fundraising Fundraising reception held in China in September 2017. 7000 East Asia and the Pacific 0 0 Speaking at Seminars or Conferences Attendance at the IASPR conference in Sydney, Australia in June 2018. 1000 East Asia and the Pacific 0 0 Investments 15377802 0 0 15661802 1 0 0 0 0 0 1 Town of Groton 173 Main Street Groton MA 01450 046001164 Government Entity 125600 Cash payment records The contribution was made to help the Town of Groton subsidize their annual operating costs. 1 0 Tuition Grant 153 0 6045627 Total credits applied to tuition Credits are applied to tuition as a means of subsidizing the overall tuition costs to qualified students attending Groton School during the academic year and for the available summer program. Travel Grant 103 177127 0 Credits are applied to monthly bill to offset costs Incidental Grant 72 143344 0 Credits are applied to monthly bill to offset costs Laptop Grant 57 59359 0 Credits are applied to monthly bill to offset costs Parent Travel Grant 48 16749 0 Payments made to subsidize travel related costs for parents Schedule I, Part I, Line 2 The School works directly with town officials and local charitable organizations to assess future needs and the use of current and past monetary grants. The School also makes several other small donations throughout the year based on the charitable purpose, historical relationship, and current need. These one time contributions are not typically monitored by the CFO or Headmaster. Financial aid grants are awarded annually to qualified students and are typically applied as credits to the tuition bill up to the amount of the grant for the current academic year. In some instances, cash payments are issued directly to parents as reimbursement for academic expenses or travel related costs when applicable. X X X X 1 1 X X X 0 1 0 0 0 0 0 0 0 Temba Maqubela Headmaster 429677 0 0 0 8113 0 85553 0 81688 0 605031 0 0 0 Arthur Diaz Chief Financial Officer 255236 0 0 0 0 0 38232 0 61688 0 355156 0 0 0 John MacEachern Director of Development 235529 0 0 0 15000 0 56802 0 31688 0 339019 0 0 0 Harold W Anderson III Assistant Headmaster 140059 0 0 0 0 0 46529 0 105348 0 291936 0 0 0 Ian Gracey Director of Admissions 147152 0 0 0 0 0 30174 0 61398 0 238724 0 0 0 Elizabeth Preston Chief Technology Officer 134560 0 0 0 22380 0 28313 0 9860 0 195113 0 0 0 Elizabeth Lawrence Development Leadership Gift Officer 127053 0 0 0 0 0 27716 0 25097 0 179866 0 0 0 Schedule J, Part I, Line 1a Faculty are required to live in on-campus housing as a condition of employment. The Headmaster's home includes some space that is reserved for School related meetings and student activities. The cost of maintaining this allotted space is paid by the School and recorded as an operating expense. The Headmaster's contract, which is approved by the Board President and the Compensation Committee, includes the cost of residential cleaning. The cost is recorded by the School as a taxable benefit and reported on the W-2. The School will only pay for the cost of a traveling spouse when they are an authorized participant in School related functions. In such a case, the cost is treated as a non-taxable work related event. The discretionary account is provided to the Headmaster as part of the approved annual budget. The account is used to fund small School related expenses and, as a result, is not reported as a taxable fringe benefit. Schedule J, Part I, Line 3 The salary of Groton's Headmaster is determined annually by the Personnel Committee of the Board. As input to their decision, the committee reviews the results of the annual ABOPS salary survey. ABOPS is a 40-member organization of independent schools whom we consider to be our peers. Schedule J, Part I, Line 4 The Headmaster's contract, which is approved by the President of the Board and the Compensation Committee, included an annual $45,000 deferred compensation contribution. The School deposited the initial payment to a qualified 457(b) plan up to the annual IRS limit of $18,000. The remaining balance was deposited to a non-qualified 457(f) plan. Each deposit to the 457(f) plan is subject to a three year vesting period and is distributed once the terms are satisfied. A Massachusetts Development Finance Agency 043431814 2013-10-17 75000000 Building renovations & refinancing existing debt 0 0 0 A 6010000 0 75000000 0 644020 48640000 474250 0 0 25885750 0 0 2016 1 0 1 1 A 0 1 0 0 0.009 0.002 0.011 0 0 1 A 0 0 0 0 1 1 Morgan Stanley Capital Services Bank of New York Mellon 30 0 0 0 0 1 A 1 Schedule K, Part IV, Line 4b-10/17/2013 75,000,000 Massachusetts Development Finance Agency The Bank of New York Mellon Swap 20 year maturity, The Bank of New York Mellon Swap 38 year maturity, and Morgan Stanley Capital Services Swap 38 year maturity. Vuyelwa M Maqubela Family Member of Temba Maqubela 120476 Employment 0 Eileen Diaz Family Member of Arthur Diaz 2371 Employment 0 X 125 1362067 FMV 0 0 1 0 Schedule M, Part I, Line 33 The number of security contributions is based on the number of gifts and the not the number of shares received. Form 990, Part VI, Section B, Line 11b A draft of the Form 990 without Schedule B was distributed electronically to each member of the Audit Committee. After a thorough review, the Committee had an opportunity to ask questions and suggest revisions during a group conference call. The draft was also posted to a secure electronic portal, accessible by the full Board, prior to filing. Form 990, Part VI, Section B, Line 12c All School officers, key employees, and members of the Board of Trustees are required annually to read the conflict of interest policy and sign the document. The signature indicates an understanding of the guidelines and an assurance to the Board that they are in compliance with the policy. Any potential conflict must be disclosed and reviewed by the President of the Board to determine if further action is required. Any identified conflict will prohibit such individual from participating in the governing body's deliberations and transaction decisions related to the conflict. Form 990, Part VI, Section B, Line 15 An employment contract between the Headmaster and the School is updated periodically and renewed annually. Each year, the President of the Board and the Compensation Committee review the Headmaster's and other senior administrator's salaries and benefits. The salary survey provided by the Association of Business Officers of Preparatory Schools is used as a guide and a point of comparison. The annual salary and benefit offerings for the Chief Financial Officer are made by the Headmaster. All salaries and benefit offerings for the remaining School employees are updated annually and approved by the Chief Financial Officer or the Headmaster up to the aggregate salary approved by the Board of Trustees. Form 990, Part VI, Section C, Line 19 The Form 990 without Schedule B can be viewed on-line by going to guidestar.org, an independently operated website. The conflict of interest policy, governing documents, and financial statements may be viewed any time upon request for the same period of disclosure set forth in Section 6104(d). Form 990, Part XI, Line 9 Change in value of interest rate swap agreements 2,180,233, accrued pension liability 1,166,638, split interest agreements 562,625, and recovery of uncollectible pledges (356,226). Charitable Remainder Trust (5) PO Box 991 Groton MA 01450 Charitable Trust MA Groton School T 1 Pooled Income Fund PO Box 991 Groton MA 01450 Pooled Income Fund MA Groton School T 1 Growth Pooled Income Fund PO Box 991 Groton MA 01450 Pooled Income Fund MA Groton School T 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Charitable Remainder Trust (5) s 0 The aggregate annual transfers from the fund to the School that represent the value of the fund assigned to the beneficiaries upon their death. Pooled Income Fund s 0 The aggregate annual transfers from the fund to the School that represent the value of the fund assigned to the beneficiaries upon their death. Growth Pooled Income Fund s 0 The aggregate annual transfers from the fund to the School that represent the value of the fund assigned to the beneficiaries upon their death.